Cash assets earmarked for fees

Where a client has cash assets in excess of the hardship criteria but has 'earmarked' the savings to meet their next year's course fees you would generally not concede hardship until the course fees have been paid. However, you would need to consider the following:

• can the client pay for their fees at this time
• what are the financial alternatives for the client to meet their course fees and
• once course fees are paid, would hardship exist (that is would this reduce the clients cash assets to a level which indicates hardship)

Where a student uses their cash assets to pay for next year's fees and then applies (or re-applies) for Jobseeker Support Student Hardship you would generally not consider this deprivation of income or property. In this situation, factors to take into account when exercising the discretion contained in Schedule 3, clause 16(1) of the Social Security Act 2018 are:

• the savings were spent on an essential expense and
• exercising discretion and refusing to grant a benefit in this situation would not encourage students to save for their fees

Note the discretion contained in Schedule 3, clause 16(1) is not limited to the use of cash assets for course fees.

You also need to look at whether the client has recently given any money away or sold any assets.

For more information see:

• Income